Tag: meaning and features of government company

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Multiple choice organisation of commerce and management government organisation meaning and features of government company government companies forms, comparison and cases of public enterprises

As per Companies Act $2013$, a company is -
A. Formed and registered under the Companies Act, $2013$
B. An existing company registered under any earlier Companies Act
Select the correct answer from the options given below.

  1. A only

  2. B only

  3. A or B

  4. A but not B
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

A company, which is incorporated under the relevant legislation of a foreign country, will not qualify as a company under the 2013 Act The proviso to section 2(71) states that “a company which is a subsidiary of a company, not being a private company, shall be deemed to be a public company for the purposes.

Multiple choice organisation of commerce and management government organisation meaning and features of government company government companies forms, comparison and cases of public enterprises

Identifying marks of a public limited company are __________.

  1. Formation

  2. Number of members

  3. Directors and meetings

  4. All of the above
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

A company whose securities are traded on a stock exchange and can be bought and sold by anyone. Public companies are strictly regulated, and are required by law to publish their complete and true financial position so that investors can determine the true worth of its stock (shares). Also called publicly held company.

A company is called as private limited when all its shares are in private hands while the shares in a Public Limited company are open to everyone. 2. Pvt Ltd Company is owned by a group of promoters. In Private Limited companies, the minimum number of shareholders should be two and the maximum 50.

Multiple choice organisation of commerce and management government organisation meaning and features of government company government companies forms, comparison and cases of public enterprises

A Public company whose shares are not on the official list of shares traded on a particular stock market is called _________.

  1. Listed company

  2. Unlisted company

  3. Private company

  4. Public company
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

An unlisted public company is a public company that is not listed on any stock exchange. Though the criteria vary somewhat between jurisdictions, a public company is a company that is registered as such and generally has a minimum share capital and a minimum number of shareholders.

Multiple choice organisation of commerce and management government organisation meaning and features of government company government companies forms, comparison and cases of public enterprises

______ companies are not popular in India.

  1. Unlimited

  2. Limited

  3. Public

  4. Private
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

An unlimited company or private unlimited company is a hybrid company (corporation) incorporated with or without a share capital (and similar to its limited company counterpart) but where the legal liability of the members or shareholders is not limited: that is, its members or shareholders have a joint.

Multiple choice organisation of commerce and management government organisation meaning and features of government company government companies forms, comparison and cases of public enterprises

The Five-member Disinvestment Commission was setup in _______.

  1. 1995

  2. 1996

  3. 1997

  4. 1998
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

 The change process in India began in the year 1991-92, with 31 selected PSUs disinvested for Rs.3,038 crore. In August 1996, the Disinvestment Commission, chaired by G V Ramakrishna was set up to advice, supervise, monitor and publicize gradual disinvestment of Indian PSUs. It submitted 13 reports covering recommendations on privatisation of 57 PSUs.Dr R.H.Patil subsequently took up the chairmanship of this Commission in July 2001.However, the Disinvestment Commission ceased to exist in May 2004. 


Multiple choice organisation of commerce and management government organisation meaning and features of government company government companies forms, comparison and cases of public enterprises

The major tasks of Disinvestment Commission is _____________.

  1. to prepare long-term disinvestment programme

  2. to determine extent of disinvestment in each PSE

  3. to monitor disinvestment process

  4. all the above
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Disinvestment Commission - The change process in India began in the year 1991-92, with 31 selected PSUs disinvested for Rs.3,038 crore. In August 1996, the Disinvestment Commission, chaired by G V Ramakrishna was set up to advice, supervise, monitor and publicise gradual disinvestment of Indian PSUs.

Multiple choice organisation of commerce and management government organisation meaning and features of government company government companies forms, comparison and cases of public enterprises

Government departments are headed by the ministers.

  1. True

  2. False
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Ministry is a government department which deals with a particular area of activity. All the Government departments are headed by the ministers as these enterprises are considered a part or an extension of the ministry. For e.g. railway department is under railway minister.

Multiple choice organisation of commerce and management government organisation meaning and features of government company government companies forms, comparison and cases of public enterprises

____ formed by the government to meet some governmental and political purposes.

  1. A foreign corporations

  2. A public corporation

  3. A Private corporations

  4. A professional corporations
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Public Corporation is a body corporate created by an Act of Parliament or Legislature. Its name is notified in the official gazette of the Central or State Government. It is an artificial person with the flexibility of the private sector and the powers of the government. They are set up with the objective of carrying out a specific type of commercial activity. These organizations are formed for administering nationalized industries or undertakings. Many service organizations of the government are set up in the form of corporations. It is formed and operated basically with a service motive. Profits are only a secondary consideration. For eg: FIC,  LIC,  ONGC etc.

Multiple choice organisation of commerce and management government organisation meaning and features of government company government companies forms, comparison and cases of public enterprises

Which ONE of the following is unlikely to constitute unfairly prejudicial conduct?

  1. The payment of excessive remuneration.

  2. Preventing the members from obtaining the best price for their shares.

  3. The improper transfer of shares.

  4. Mismanagement
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Mismanagement. (usually uncountable, plural mismanagements) The process or practice of managing ineptly, incompetently, or dishonestly. The value of the firm's stock fell precipitously when word leaked out that officers of the company were under investigation for gross mismanagement.

Multiple choice organisation of commerce and management government organisation meaning and features of government company government companies forms, comparison and cases of public enterprises

The shares of the government company is purchased in the name of ___________.

  1. Central government

  2. State government

  3. Prime minister of India

  4. President of India
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

The shares of the company are purchased in the name of the President of India. Since the government is the major shareholder and exercises control over the management of these companies.